[News] Shell defends 'difficult' decision to buy Russian crude oil, are they right? discuss

[Papa Lazarou]

you're right about sharing, but its a couragous policy to sell to the public cutting 30% off from ownership, especially given the demographics it would effect. on other hand, the urban terrace dwellers have most access to public transport. also those high power chargers will need most domestic supplies to be upgraded, probably local substations and cabling to support too.

It needs to be applicable to everyone or it doesn't work, you are correct. The courageous move would be to do it now, before EVs are ubiquitous in the UK. Self drive technology would help, so your car comes to you when you need it.

The grid capacity questions still remain, but if every town had a large vehicle hub, with 1000s of EVs on-site, you've got yourself a large semi-permanent Vehicle to Grid battery right there, which can be used to even out grid demand, taking excess or providing power as and when needed.

 

[nicko31]

Not defending Shell but the profit margins in refining and fuel distribution is close to didly squat - most of what we pay at pump is tax. I don’t think She’ll or BP have any refining capability in uk anymore.

Shell are making huge profits from gas extraction, they are I think the largest private supplier in the world. Coining it in. They are taking a hit on their Russian assets but its small fry in the scheme of things

 

[worthingseagull123]

Actually, that's exactly what should have happened. The amount of money wasted / lost by this government in recent years (e.g. £37 Billion on the Serco Track and Trace) would have funded support for every household to replace their boiler with an electric solution AND provide generous support to buy EVs. Both China (non-democratic) and Norway (democratic) did similar and the EV uptake has been amazing in both countries. Clearly they would have had to ensure the grid was capable of flexing to the demand this would add to the UK system, but it's doable, as long as the government wants to do it. I don't see this Tory government as one that has any interest in Net Zero or divesting our dependence on Russian oil & gas.

I don’t see the public having any interest in net zero when they realise what they will have to sacrifice.

 

[Springal]

I don’t see the public having any interest in net zero when they realise what they will have to sacrifice.

Maybe they will when petrol / diesel will be over £1.75/l by the end of this month

 

[vegster]

Traditionally in times of fuel crisis the Saudi's just ramp up their production to increase supply and reduce the price per barrel .... not heard the Saudi's mentioned yet during the current crisis ?

 

[beorhthelm]

Traditionally in times of fuel crisis the Saudi's just ramp up their production to increase supply and reduce the price per barrel .... not heard the Saudi's mentioned yet during the current crisis ?

they increased production a little at meeting last week. not enough for the market. they have their own agenda to keep price reasonably high, though risk causing recession and price collapse if they play their hand too far. the real swing producer, US, hasnt increased output.

 

[zefarelly]

Correct.

If we can divert a mind boggling amount of money to bring a Covid vaccine online, we should now be doing the same with renewable.

It isn't as if we are short of wind in these parts.

I won't be shelling out for Shell product anytime soon, either. Is there a list somewhere of which supermarkets they supply?

Given our bill hikes lately It may be cheaper to start taking cocaine regularly. From distant memory one talks so much high speed bollocks that you'd generate enough hot air to heat a 3 bed semi. Cheaper too. probably.


difficult to find positives ethically, but we're all a little bit guilty I suppose

https://earthbound.report/2008/03/10/which-is-the-most-ethical-oil-company/

 

[Harry Wilson's tackle]

Is this a new decision of yours to boycott Shell, because of Ukraine?

Yes.

 

[Harry Wilson's tackle]

Given our bill hikes lately It may be cheaper to start taking cocaine regularly. From distant memory one talks so much high speed bollocks that you'd generate enough hot air to heat a 3 bed semi. Cheaper too. probably.


difficult to find positives ethically, but we're all a little bit guilty I suppose

https://earthbound.report/2008/03/10/which-is-the-most-ethical-oil-company/

Edit - misunderstood

 

[Kalimantan Gull]

Yes.

No problem with boycotting Shell, but can't say I've heard a position taken by most other major suppliers of petrol - Esso, Gulf, Texaco, Tesco, Sainsburys, Morrisons and so on. For that matter where do the supermarkets get their petrol from, is it via Shell?

 

[Doonhamer7]

Shell are making huge profits from gas extraction, they are I think the largest private supplier in the world. Coining it in. They are taking a hit on their Russian assets but its small fry in the scheme of things

Agreed but original comment was on petrol / diesel distribution (and refining) and why we pay so much at the pump where there is very little money to be made in the market sector. Shell are probably the world leaders in gas exploration especially since they bought BG Group 5 years ago

 

[pwlr1966]

UPDATE - Oil giant Shell says it is sorry for buying a shipment of Russian oil last week at knock-down prices.

"We are acutely aware that our decision last week to purchase a cargo of Russian crude oil to be refined into products like petrol and diesel - despite being made with security of supplies at the forefront of our thinking - was not the right one and we are sorry," chief executive Ben van Beurden says.

The business says it will immediately stop all spot purchases of Russian crude oil and will shut its service stations, aviation fuel and lubricants operations in Russia.

It says its withdrawal from other associations with Russia will be done "in a phased manner, aligned with new government guidance".

McDonalds & CocaCola next?

 

[Mackenzie]

UPDATE - Oil giant Shell says it is sorry for buying a shipment of Russian oil last week at knock-down prices.

"We are acutely aware that our decision last week to purchase a cargo of Russian crude oil to be refined into products like petrol and diesel - despite being made with security of supplies at the forefront of our thinking - was not the right one and we are sorry," chief executive Ben van Beurden says.

The business says it will immediately stop all spot purchases of Russian crude oil and will shut its service stations, aviation fuel and lubricants operations in Russia.

It says its withdrawal from other associations with Russia will be done "in a phased manner, aligned with new government guidance".

McDonalds & CocaCola next?

Too late.

Shell

 

[Springal]

I saw a stat that said McDonalds own, not franchise all of the stores there. And revenue is about 10% of their global revenue. Is that right? Mad...

 

[Acker79]

UPDATE - Oil giant Shell says it is sorry for buying a shipment of Russian oil last week at knock-down prices.

"We are acutely aware that our decision last week to purchase a cargo of Russian crude oil to be refined into products like petrol and diesel - despite being made with security of supplies at the forefront of our thinking - was not the right one and we are sorry," chief executive Ben van Beurden says.

The business says it will immediately stop all spot purchases of Russian crude oil and will shut its service stations, aviation fuel and lubricants operations in Russia.

It says its withdrawal from other associations with Russia will be done "in a phased manner, aligned with new government guidance".

McDonalds & CocaCola next?

What are spot purchases? How much of their supply does it take up? Where are the other purchases coming from? I suppose I'm asking if it's possible this is some PR spin wherein they say they are stopping something they're barely even doing while quietly continuing to purchase from Russia under a different system.

 

[sydney]

Or turn their nappies into biofuel

12 year old twins...

 

[dsr-burnley]

What are spot purchases? How much of their supply does it take up? Where are the other purchases coming from? I suppose I'm asking if it's possible this is some PR spin wherein they say they are stopping something they're barely even doing while quietly continuing to purchase from Russia under a different system.

I believe a spot purchase is one where they buy it today at today's price, whereas a lot of oil purchases are futures purchases where the parties agree a price that they will buy/sell the oil for at a future date. For example, if the price is $100 today, the buyer can buy the oil at that price for immediate delivery, or can agree a deal with the seller to buy at a certain price (which may be higher or lower, depending on which way both parties think the market will go) at a future date. It's hedging. It makes oil companies much less vulnerable to vagaries of the market.

Shell are presumably saying that they won't make any more deals to buy Russian oil but they will fulfil the futures contracts that have already been agreed but the date of purchase hasn't yet come.

 

[beorhthelm]

What are spot purchases? How much of their supply does it take up? Where are the other purchases coming from? I suppose I'm asking if it's possible this is some PR spin wherein they say they are stopping something they're barely even doing while quietly continuing to purchase from Russia under a different system.

a point, probably carry on trading long term contracts because they'll be obliged to (or face legal complication of paying for goods they dont take). spot is usually the current market price of a commodity, here it seems to be refering to ad-hoc deal. if it isnt Shell someone else will be shipping Russian oil into Europe because there is a large demand not easily sourced elsewhere.

 

[Swansman]

UPDATE - Oil giant Shell says it is sorry for buying a shipment of Russian oil last week at knock-down prices.

"We are acutely aware that our decision last week to purchase a cargo of Russian crude oil to be refined into products like petrol and diesel - despite being made with security of supplies at the forefront of our thinking - was not the right one and we are sorry," chief executive Ben van Beurden says.

The business says it will immediately stop all spot purchases of Russian crude oil and will shut its service stations, aviation fuel and lubricants operations in Russia.

It says its withdrawal from other associations with Russia will be done "in a phased manner, aligned with new government guidance".

McDonalds & CocaCola next?

Shell are probably well aware that in a couple of weeks people will be willing to drive their home built steam cars themselves over to Russia and pick up a barrel of that dirty, good old crude oil.

If this lasts a long time I think people are underestimating the problems it will cause Europe to shut the main energy supplier off.

 

[Harry Wilson's tackle]

No problem with boycotting Shell, but can't say I've heard a position taken by most other major suppliers of petrol - Esso, Gulf, Texaco, Tesco, Sainsburys, Morrisons and so on. For that matter where do the supermarkets get their petrol from, is it via Shell?

I don't know. All I know is it was posted on here by reliable posters that Shell were still trading with poo tin. That's good enough for me.